Joint venture for LiuGong and ZF

LiuGong and ZF are intensifying their cooperation by building a new joint venture axle company in Liuzhou. Called ZF Liuzhou Axle, the new company will produce wheel loader axles that are specially tailored for the requirements of the Chinese market. By 2018 some 190 employees will be working at Liuzhou Axle. Since 1995, ZF and LiuGong have been operating a joint venture company in Liuzhou, a major industrial city in the south of China. The two parties have now decided to further intensify their cooperation
November 27, 2012 Read time: 2 mins

LiuGong and ZF are intensifying their cooperation by building a new joint venture axle company in Liuzhou. Called ZF Liuzhou Axle, the new company will produce wheel loader axles that are specially tailored for the requirements of the Chinese market. By 2018 some 190 employees will be working at Liuzhou Axle.

Since 1995, 2304 ZF and 269 LiuGong have been operating a joint venture company in Liuzhou, a major industrial city in the south of China. The two parties have now decided to further intensify their cooperation. The new joint venture will be established in the same location. The joint venture will strengthen ZF’s activities in China. “During the past years, the country has experienced a rapid development of construction machinery,” explained Dr Stefan Sommer, CEO of ZF. “More than half of the world’s wheel loaders are produced in China. A considerable amount of machines are also being exported abroad from there. The impressive export rate, in particular, represents a big challenge since it frequently leads to market fluctuations. With the new joint venture company, ZF will continue its growth in China.”

Wang Xiao Hua, chairman of LiuGong, also said, “The new venture will benefit from the many successful years of cooperation already between LiuGong and ZF and by further extending this beneficial cooperation, we will continue to set many things in motion on the fiercely competitive construction machinery market.”

A team of engineers from ZF Headquarters, LiuGong and ZF China have been working together to upgrade the existing axle models for LiuGong wheel loaders since October 2011,” said Hermann Beck, head of the ZF Business Unit Off-Highway Systems. “These joint efforts brought about a modular axle concept which, besides the standard version with dry disc brake, offers the possibility to supply a new, even more sophisticated solution with wet multi-disc brake using a large portion of common parts.”
Engines, Components & Tyres

For more information on companies in this article

Related Content

  • Volvo CE benefits from strong financial results for 2019
    January 31, 2020
    Volvo CE is benefiting from strong financial performance during 2019.
    Read More
  • Liebherr sees strong performance
    February 28, 2012
    Liebherr reports steady growth in 2010, with turnover increasing 9%, a growth in its workforce and company investments of €544.1 million.
    Read More
  • CECE report highlights European construction growth
    March 13, 2019
    Sales of construction machines continue to be strong across Europe, due to steady growth in construction starts. This has been highlighted in the CECE Annual Economic Report 2019. The report shows that 2018 was the strongest year for the European construction equipment market since the economic crisis in 2008/09. Sales of construction machines in the European market grew by 11% for 2018, and the absolute market level is now 10% below the 2007 peak. There was a considerably growing momentum during 2018: a
    Read More
  • Wheeled loaders tackle costs, reduce emissions
    February 7, 2012
    Volvo CE says that lowering fuel consumption will tackle fleet costs and deliver environmental benefits for its customers, Mike Woof reports. Volvo Construction Equipment (Volvo CE) is targeting fuel economy and performance with its latest generation of machines. The new L180F and L220F wheeled loader models are being fitted with the sophisticated OptiShift package, which will boost operation and driveline efficiencies and cut fuel consumption by 15%, and more in some instances.
    Read More

Highlighted Content